Log on to join the house-swap jet set

Want to take holidays all over the world at minimal expense? Then get on the internet and look for a home exchange, says Sam Dunn

If you've just returned from holiday cursing the lousy hotel you ended up staying in, what about staying at home next year - not in yours but someone else's?

House swapping - living rent-free in a stranger's home while the owners take a similar holiday in your own home - is an increasingly popular choice. The arrangement provides free accommodation, leaving only your travel expenses to pay. It may even be possible to swap cars with the owners of the other property.

You can choose from homes all over the world to swap with, and because you're saving so much money on the cost of a conventional holiday, you should be able to take a break more often. Many people also find this type of holiday more relaxing than staying in a hotel.

"People like the authentic experience - being treated as a local instead of a bloody tourist," explains Jim Anderson, head of the UK branch of Home Link International. The property-swapping agency has 1,400 members in the UK and 12,700 worldwide.

The outbreak of foot-and-mouth disease and the downturn in US visitors after the 11 September terrorist attacks dealt a blow to the growing popularity of international house swaps in the UK. However, Mr Anderson says the industry has bounced back during the past two years.

You don't have to live in a manor house or a chic pied-à-terre to do a house swap. A modest home close to Bath or in a Yorkshire village is likely to prove as popular as a swanky Chelsea flat. Not everyone wants to visit London; many overseas visitors head straight for Scotland or for areas such as Shakespeare country and the Lake District.

"People think it has to be a like-for-like home but it doesn't - it's about a sense of like-for-like with location," says Mr Anderson.

The concept of house swapping has been around for some 50 years, but interest has surged recently thanks to the growth of internet-based home exchange agencies. Although you can advertise privately in newspapers and magazines, the best way to find out about house swaps is online. The websites tend to be free or have an annual fee of less than £100. You can post pictures and details of your own house and browse through thousands of potential partner homes. You might even want to include a link to your own website to show off your home in more detail.

Once you've found a property to swap with, it's a good idea to find out more about the strangers you're going to entrust with the keys to your house. So spend time talking to them on the phone before you book your holiday.

Home Link International's Mr Anderson says that, in his experience, home swappers usually have a lot in common and encounter few problems. His company deals with just five or six complaints a year, all related to the cleanliness of the property.

It's important to be comfortable with the implications of letting your house out to people you don't know, who will sleep in your bed, use your bathroom and - possibly - drive your car.

"You have to be independent-minded to give your home to virtual strangers," says Mr Anderson. "There's a lot to organise but the rewards are great - you get hooked after the first time."

Before you leave for a home-swap holiday, lock away your valuables, compile a guide to your home and its appliances, and come to an arrangement to cover phone and utility bills. Don't forget to leave emergency contact numbers.

People staying in your home are, in effect, guests, and any damage in your absence should be covered by your existing home insurance. Contact your insurer to check this. If your visitors are going to be using your car, make sure you add their names to your motor insurance policy and, in case of accidents, agree on any excess payments in advance.

Contacts: www.homebase-hols.com; homeinvite.com; homelink.org.uk

'We've made real savings'

The Glenn family from Bury St Edmunds in Suffolk have been taking international home-swapping holidays for the past five years.

Julie, 46, a part-time teacher, and her husband Stephen, 47, a Royal Mail executive, have so far visited Norway, Spain, France and the US with their children Robyn, 13, and Haydn, 11.

"We live in a lovely area and thought home swapping would be worth trying," explains Mrs Glenn. "We have always swapped cars as well, so the only costs have been flights and day-to-day expenses - we have made real savings.

"I look for a clean, welcoming house. As a family, we go for homes with things for children to do, such as computer games, rather than places full of antiques."

Overseas visitors are attracted to their own home because of its rural location and its proximity to Cambridge.

"Before we leave, we clear drawer space and put our clothes in the loft," says Mrs Glenn. "Regarding bills, people have usually been prepared to pay for what they use.

"We'll carry on for at least a few more years. The annual fee is small and the homes directory is getting fuller."